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We consider a novel formulation of the dynamic pricing and demand learning problem, where the evolution of demand in response to posted prices is governed by a stochastic variant of the popular Bass model with parameters $\alpha, \beta$…

Machine Learning · Computer Science 2021-03-10 Shipra Agrawal , Steven Yin , Assaf Zeevi

Feature-based dynamic pricing is an increasingly popular model of setting prices for highly differentiated products with applications in digital marketing, online sales, real estate and so on. The problem was formally studied as an online…

Machine Learning · Computer Science 2021-10-26 Jianyu Xu , Yu-Xiang Wang

Dynamic pricing of goods in a competitive environment to maximize revenue is a natural objective and has been a subject of research over the years. In this paper, we focus on a class of markets exhibiting the substitutes property with…

Machine Learning · Computer Science 2017-09-18 Paresh Nakhe

In this paper, we study the contextual dynamic pricing problem where the market value of a product is linear in its observed features plus some market noise. Products are sold one at a time, and only a binary response indicating success or…

Machine Learning · Computer Science 2022-05-05 Jianqing Fan , Yongyi Guo , Mengxin Yu

Price discrimination, which refers to the strategy of setting different prices for different customer groups, has been widely used in online retailing. Although it helps boost the collected revenue for online retailers, it might create…

Machine Learning · Computer Science 2023-07-31 Xi Chen , Jiameng Lyu , Xuan Zhang , Yuan Zhou

Dynamic pricing is crucial in sectors like e-commerce and transportation, balancing exploration of demand patterns and exploitation of pricing strategies. Existing methods often require precise knowledge of the demand function, e.g., the…

Machine Learning · Computer Science 2025-03-04 Xueping Gong , Jiheng Zhang

We consider dynamic pricing with covariates under a generalized linear demand model: a seller can dynamically adjust the price of a product over a horizon of $T$ time periods, and at each time period $t$, the demand of the product is…

Machine Learning · Computer Science 2023-11-14 Hanzhao Wang , Kalyan Talluri , Xiaocheng Li

We study a nonparametric contextual bandit problem where the expected reward functions belong to a H\"older class with smoothness parameter $\beta$. We show how this interpolates between two extremes that were previously studied in…

Machine Learning · Statistics 2020-09-14 Yichun Hu , Nathan Kallus , Xiaojie Mao

In contextual dynamic pricing, a seller sequentially prices goods based on contextual information. Buyers will purchase products only if the prices are below their valuations. The goal of the seller is to design a pricing strategy that…

Machine Learning · Statistics 2025-02-14 Matilde Tullii , Solenne Gaucher , Nadav Merlis , Vianney Perchet

We study the problem of learning shared structure \emph{across} a sequence of dynamic pricing experiments for related products. We consider a practical formulation where the unknown demand parameters for each product come from an unknown…

Machine Learning · Computer Science 2021-01-07 Hamsa Bastani , David Simchi-Levi , Ruihao Zhu

We study contextual dynamic pricing under a semiparametric demand model in which the purchase probability is $1-F(p-m(\mathbf{x}))$, where $m(\mathbf{x})$ captures mean utility as a function of product features and buyer covariates, and $F$…

Methodology · Statistics 2026-05-07 Jinhang Chai , Yaqi Duan , Jianqing Fan , Kaizheng Wang

We study a $K$-armed non-stationary bandit model where rewards change smoothly, as captured by H\"{o}lder class assumptions on rewards as functions of time. Such smooth changes are parametrized by a H\"{o}lder exponent $\beta$ and…

Machine Learning · Statistics 2025-02-27 Joe Suk

This paper introduces a novel contextual bandit algorithm for personalized pricing under utility fairness constraints in scenarios with uncertain demand, achieving an optimal regret upper bound. Our approach, which incorporates dynamic…

Machine Learning · Statistics 2023-11-29 Xi Chen , David Simchi-Levi , Yining Wang

We study a non-parametric multi-armed bandit problem with stochastic covariates, where a key complexity driver is the smoothness of payoff functions with respect to covariates. Previous studies have focused on deriving minimax-optimal…

Machine Learning · Computer Science 2021-10-19 Yonatan Gur , Ahmadreza Momeni , Stefan Wager

We investigate online convex optimization in non-stationary environments and choose the dynamic regret as the performance measure, defined as the difference between cumulative loss incurred by the online algorithm and that of any feasible…

Machine Learning · Computer Science 2020-12-01 Peng Zhao , Yu-Jie Zhang , Lijun Zhang , Zhi-Hua Zhou

In feature-based dynamic pricing, a seller sets appropriate prices for a sequence of products (described by feature vectors) on the fly by learning from the binary outcomes of previous sales sessions ("Sold" if valuation $\geq$ price, and…

Machine Learning · Computer Science 2022-04-04 Jianyu Xu , Yu-Xiang Wang

We consider a dynamic pricing problem where customer response to the current price is impacted by the customer price expectation, aka reference price. We study a simple and novel reference price mechanism where reference price is the…

Machine Learning · Computer Science 2024-07-23 Shipra Agrawal , Wei Tang

In many applications of online decision making, the environment is non-stationary and it is therefore crucial to use bandit algorithms that handle changes. Most existing approaches are designed to protect against non-smooth changes,…

Machine Learning · Computer Science 2024-11-19 Su Jia , Qian Xie , Nathan Kallus , Peter I. Frazier

We consider the problem of a firm seeking to use personalized pricing to sell an exogenously given stock of a product over a finite selling horizon to different consumer types. We assume that the type of an arriving consumer can be observed…

Machine Learning · Computer Science 2021-10-08 Ningyuan Chen , Guillermo Gallego

We study dynamic pricing where a seller repeatedly interacts with a strategic, non-myopic buyer who has a fixed private valuation and discounts future utility. Prior work focused exclusively on posted-price mechanisms, which only extract…

Computer Science and Game Theory · Computer Science 2026-04-28 Shiliang Zuo
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